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Add 4 people.
Write some songs with 2 parts. (The shorter the better, it makes learning them easier)
Rehearse a few times (No more than 2 hours a time)
Record via yr mate with a 4 track.
Put out stuff on various formats.
It's easy.
It's cheap.
All you need is a tape to tape deck, access to a photocopier and basic photoshop skills.